Shell Earns Big Profit as Oil Rises
Shell is one of the biggest oil and gas companies in Europe. It made $6.9bn(£5bn) in profit in three months. This is more than experts expected, and 24% higher than last year. The boss of Shell, Wael Sawan, said the company did well during a difficult time for world energy markets.
Many things helped Shell make more money. The Iran war pushed oil prices much higher. The price of Brent crude oil— the main world oil price— was about $73a barrel before the war, but rose above $120. It is now around $101. The Strait of Hormuz, a narrow sea path that carries about 20% of the world's oil and gas, has been mostly closed. With prices changing fast, Shell's oil traders made bigger profits. Other oil companies, like BP (British Petroleum) and Norway's Equinor, also did well.
Climate groups are angry about Shell's large profits. They want the government to take more tax from oil firms— a windfall tax on sudden big profits. In the United Kingdom (UK) , this tax exists, but only on oil and gas from UK land and sea. Most of Shell's profit comes from abroad. UK energy bills may rise about £200 in July. Shell's own production fell 4% after attacks damaged its Pearl gas plant in Qatar.
